CENTRAL LONG BEACH REDEVELOPMENT PROJECT AREA FIVE-YEAR IMPLEMENTATION PLAN Fiscal Year 2010 – Fiscal Year 2014 (October 1, 2009 - September 30, 2014) CITY OF LONG BEACH REDEVELOPMENT AGENCY 333 West Ocean Boulevard, 3rd Floor Long Beach, California 90802 (562) 570-6400 The mission of the Redevelopment Agency of the City of Long Beach is to improve the blighted areas of Long Beach, revitalize neighborhoods, promote economic development and the creation of jobs, provide affordable housing and encourage citizen participation. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page i TABLE OF CONTENTS I. INTRODUCTION...................................................................................................... 1 II. BACKGROUND ....................................................................................................... 1 III. BLIGHTING CONDITIONS ...................................................................................... 2 IV. REDUCTION OF BLIGHT THROUGH PAST ACTIVITIES ..................................... 7 V. IMPLEMENTATION PLAN GOALS AND OBJECTIVES ...................................... 10 VI. PROPOSED AGENCY PROGRAMS AND POTENTIAL PROJECTS................... 12 VII. EXPENDITURES ................................................................................................... 18 LIST OF FIGURES Figure 1: Project Area Boundaries ................................................................................. 3 Figure 2: Linkage of Goals to Blight Alleviation ............................................................ 11 Figure 3: Linkage of Projects and Programs to Blight Alleviation ................................. 17 Figure 4: Expenditures .................................................................................................. 19 ATTACHMENT Attachment No. 1: Blight Definitions in Effect at Time of Project Re-adoption Attachment No. 2: Affordable Housing Compliance Plan Central Long Beach Redevelopment Project Five-Year Implementation Plan October 1, 2009 – September 30, 2014 I. INTRODUCTION Health and Safety Code Section 33490 requires redevelopment agencies to adopt implementation plans for each project area every five years. This document is the Implementation Plan for the Central Redevelopment Project (“Implementation Plan”) for the period of fiscal years 2010-2014 (October 1, 2009 through September 30, 2014). Upon adoption by the Redevelopment Agency of the City of Long Beach (“Agency”), it will replace the prior Implementation Plan for 2005-2009. The Implementation Plan must describe the Agency's specific goals and objectives for the project area during the five-year period of the Plan. It must also include the specific programs, including potential projects and estimated expenditures, that an agency proposes to enact during the five-year period. The Plan must contain an explanation of how the programs will eliminate blight within the project area and implement the Agency's low- and moderate-income housing obligations. An Implementation Plan is a policy and program document; it does not identify specific project locations. An Implementation Plan is composed of two major components: a redevelopment component and a housing component. The redevelopment component: (1) revisits the goals and objectives of the Redevelopment Plan; (2) defines the Agency’s strategy to achieve these goals and objectives; (3) presents the programs, including potential expenditures that are proposed as a means to attain the Plan’s goals and objectives; and (4) describes how the goals and objectives, programs and expenditures will eliminate blight within the Project Area. The housing component is included in the Affordable Housing Compliance Plan, which has been prepared separately and included as Attachment 2. II. BACKGROUND The Central Long Beach Redevelopment Project Area (Project Area) was originally adopted on September 21, 1993. Under AB 598, special enabling legislation was enacted following the civil disturbances in 1992, during which the majority of local damage occurred in the Project Area. Structural damage to Project Area buildings during the civil disturbances totaled over $19 million, or 91 percent of the City total. However, after 1993, property values declined and the Project Area generated no income. On March 6, 2001, the Redevelopment Agency Board and City Council approved the readoption of the Project Area. Subsequently, property values have increased and the Project Area is now generating tax increment that can be used to support redevelopment activities. The Project Area consists of 2,619 acres, 100 percent of which can be classified as urbanized. It is generally located in southern Long Beach, south of the I-405 (San Diego) Freeway, north of downtown, east of the I-710 (Long Beach) Freeway and west of Redondo Avenue. The Project Area includes major north-south portions of Long Beach Boulevard, Pacific and Atlantic Avenues, and major east-west sections of Willow Street, Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 2 of 19 Pacific Coast Highway, Anaheim and Seventh Streets. Also included are major portions of Martin Luther King Jr. Avenue and Alamitos Avenue (see Figure 1). The Project Area is characterized by severely deteriorated residential areas; large underutilized buildings located along Long Beach Boulevard and formerly occupied by auto dealerships; deficient buildings that house retail outlets with limited market potential; and by environmental problems. The Project Area has inadequate public facilities and is in need of public improvement; it lacks neighborhood-serving uses; has limited public open spaces, few recreational opportunities, and inadequate utilities. The overall purpose of the redevelopment effort is to re-direct and concentrate commercial facilities in significant centers and along major arterial corridors, while accommodating residential needs and preserving existing neighborhoods. III. BLIGHTING CONDITIONS During the process of re-adopting the Project Area in 2001, the conditions of blight were identified through parcel-by-parcel field surveys that focused on deterioration and assessed the exterior condition of each structure and site within the Project Area. In addition to assessing structural and site conditions, the study identified the presence of structurerelated blighting conditions other than deterioration, such as age and obsolescence, faulty exterior arrangement and interior spacing, and defective design. The following blighting conditions were noted in one or both of the aforementioned surveys, and the Strategic Guide for Development of the Central Strategic Area (Strategic Guide), which confirmed the remain blighting influences that require correction. The Agency Board adopted the Strategic Guide in June 2005. Buildings and Structures: 1. Deterioration and dilapidation were noted to a moderate-to-substantial degree in 20 percent of all blocks within the Project Area at the time of re-adoption. In addition, 78 percent of all the blocks were moderately to substantially impacted by structures that exhibited deferred maintenance. 2. Defective design and character of physical construction remained significant blighting influences area-wide and 29 percent of the blocks contained faulty alterations such as illegal garage conversions, evidenced by characteristics of inadequate ventilation and light, or the use of faulty materials. Conditions include failure to meet modern building standards established to ensure the health and safety of building occupants. Buildings of unreinforced masonry and "bootlegged" additions were examples found in the Project Area. The additions reflected poor craftsmanship utilizing scrap material, with little regard to integration with the original design. Exterior plumbing and electrical utility systems were also a blighting influence in this classification, since they reflect haphazard craftsmanship. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 Figure 1: Project Area Boundaries FY10 – FY14 Page 3 of 19 Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 4 of 19 Furthermore, the bootlegged additions reduced on-site parking, which significantly impacted street parking. This was evidenced in the residential areas between 7 th and 10th Streets east of Alamitos Avenue. 3. Age and obsolescence, including physical layout of properties, remained a problem at the time of re-adoption. Fifty percent of the Project Area’s building stock was built before 1950, of which 23 percent was constructed from 1920-29, while 1,346 buildings, or 12 percent of the total, was constructed prior to 1920. In total, 40 percent of the blocks within the Project Area contained structures that were obsolete. An example of obsolescence was found on Long Beach Boulevard, where the once thriving automobile dealerships have been made obsolete by modern "auto malls" that are usually located adjacent to freeways. Atlantic Avenue, Pacific Avenue, Anaheim Street and Pacific Coast Highway, among other commercial areas, are outdated commercial strips with no off-street parking and outdated commercial property design. 4. Shifting use was a characteristic of the Project Area and other areas that were stagnating or in decline. Symptoms included buildings or commercial outlets shifting from one use to another because of an increase in turnover in business operations and tenancies, usually because of numerous marginal start-ups and subsequent failures. Shifting may also occur when buildings are converted from original uses to uses inconsistent with their original design. Shifting uses indicate that private enterprise is either unwilling or unable to invest sufficient capital to construct or rehabilitate properties to meet modern space or market requirements. 5. Incompatible uses, characterized by incompatible residential, commercial and industrial uses located in close proximity, were prevalent at the time of re-adoption. Forty-one percent of the blocks in the Project Area contained incidents of incompatibility. This led to negative visual impacts and environmental problems such as excessive noise, traffic and environmental hazards. Major examples are residential - industrial land use conflicts, as well as oil drilling activities adjacent to residential uses. Most incompatible uses occurred along major commercial thoroughfares such as Long Beach Boulevard; Atlantic Avenue; Pacific Coast Highway; and Anaheim Street; within industrial areas along Daisy and Orizaba Avenues; and areas north of East 31st Street where oil drilling is prevalent. 6. Faulty interior arrangement and exterior spacing include conditions of insufficient floor area, inadequate building setbacks and inadequate parking. Many buildings constructed in the Project Area over the years to comply with older building and zoning standards were built with little or no regard for buildings on adjacent parcels. Structures with inadequate setbacks tend to limit light and Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 5 of 19 ventilation. Inadequate off-street parking impacts both commercial and residential sections of the Project Area. 7. Abnormally high vacancies characterize the area and continue to be a significant problem in the Project Area. The negative visual impact of vacant buildings serves as an impediment to revitalization and reinvestment. Properties 8. Parcels of irregular shape and inadequate size dominate in some sections of the Project Area, leading to economic dislocation, deterioration and disuse. This situation is commonly the result of historical subdivision and development patterns as well as shifting economic and commercial trends. 9. Ownership patterns within a block are a critical indicator of the private sector's ability to upgrade their properties or to undertake new development. Many commercially-zoned areas in the Project Area are made up of narrow or shallow lots, requiring the assembly of two or more lots to accommodate expansion or new development. Such lots are often under individual ownership, making private assembly difficult and time-consuming. Higher density or updated development is unlikely without a major land assembly effort. 10. Inadequate public improvements, facilities and utilities inhibit private owners and developers in their efforts to upgrade or develop their properties. These conditions characterize the majority of the Project Area. 11. Lack of or deteriorated sidewalks, curbs, and gutters pose potential safety, flooding, and health problems to the Project Area. The lack of and poor condition of the infrastructure is a deterrent to investment and reinvestment if comparable areas with more updated improvements are found elsewhere. 12. Storm drain, street, and alley conditions throughout the Project Area are demonstrably poor. These conditions cause both negative impacts on the day-today lives of those living and doing business in the Project Area, as well as serving as an impediment to potential investors. 13. Traffic, circulation, and parking deficiencies are significant blighting factors in the Project Area. Several east-west streets in the southern portion of the Project Area are narrow, which hampers circulation. High traffic volumes on Anaheim Street, Pacific Coast Highway and Long Beach Boulevard also present circulation difficulties. Substandard alleys, especially in some residential areas, serve to impede access. Their condition restricts access for large delivery vehicles and emergency vehicles, and makes two-way traffic difficult. Parking on the major commercial corridors is limited. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 6 of 19 14. Overhead utilities are typically found in the alleys behind major Project Area arterials and, similar to inadequate lot size and depth; restrict the character of development, which can occur without relocation or under grounding. Overhead lines also adversely impact the Project Area's appearance and investment potential by looking cluttered and outdated. 15. Sewer system deficiencies in the Project Area are aggregating at a faster rate than maintenance can occur or new sewers can be built. Social Conditions 16. Rapid population growth in the Project Area led to severe overcrowding conditions. At the time of re-adoption, the Project Area’s population totaled 96,800 people, which equated to 23,700 persons per square-mile compared to 9,149 people per square-mile for the rest of the City. This situation has also strained the existing public service delivery system, which has struggled to keep up with the increased demand for services in the Project Area. The population in the Project Area was much younger overall than the City average, leading to problems with gangs, drugs and related criminal activities. Educational levels were also lower than City averages, indicating a trend toward a growing disparity between the educated and the less-educated residents. 17. The lower median income of Project Area residents, as compared with the City median has been a significant blighting influence. The Project Area’s per capita income at the time of re-adoption was $11,100 compared to $20,700 for the rest of the City. This relatively low income has adversely affected the Project Area in three ways. First, Project Area residents had little disposable income to maintain or improve their properties; secondly, it is common for more than one household to share a dwelling unit so it is affordable; and finally, low Project Area incomes makes business attraction challenging and new business survival tenuous. 18. There was an inadequate amount of open space for Project Area residents. City standards call for eight acres per 1,000 residents, which equates to approximately 800 acres required for the Project Area. Including parks immediately adjacent to Project Area boundaries, only 61 acres of parks were available for Project Area use at the time of re-adoption. 19. Crime rates have been comparatively higher than those of the City and significantly higher for most serious crimes. Gangs and drugs are blamed as major contributors to the crime problem in the Project Area. The perception of the Project Area as a dangerous place to live and work discourages in-migration of relatively affluent residents, new business owners and investors, and often makes favorable financing difficult to obtain. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 7 of 19 Economic Conditions 20. Impaired investments in the Project Area are generally characterized by the following indicators: negative taxable retail sales tax trends; low commercial building permit activity; high business turnover and low stability; high commercial vacancy rates; a large number of vacant and underutilized lots; and wholesale relocation of the new auto sales business out of the Area. IV. REDUCTION OF BLIGHT THROUGH PAST ACTIVITIES The Agency has worked to correct the blighting conditions in the Project Area through a number of successful efforts. Neighborhood Revitalization Completed entitlements of a 350-unit mixed-use development on Ocean Boulevard and Alamitos Avenue. Acquired 532-558 Willow Street as part of the land assembly for the Atlantic Avenue and Willow Street development site to allow for a commercial development to support Memorial Hospital. Completed land assembly and entered into an Exclusive Negotiating Agreement for the development of live/work units at 825-837 East 7th Street. Incorporated the recommendations identified in the Central Design Guidelines into new projects to encourage pedestrian-oriented development within the Project Area. Completed the development of an Implementation Plan to further the improvements in the Long Beach Design District. Facilitated the entitlement of 351 residential units and 42,000 square feet of ground floor retail in a mixed-used project at the southwest corner of Long Beach Boulevard and Anaheim Street. Completed site acquisition of 612 Sunrise Boulevard to provide a gateway entrance to the Sunrise Hotel District. Entered into Disposition and Development Agreements (DDAs) for the rehabilitation of four historic homes pursuant to the Willmore District Implementation Plan. Completed historic rehabilitation of a historic home moved to 419 Daisy Avenue. Provided additional funding in conjunction with the Neighborhood Code Enforcement Program to focus more resources on the Pacific Avenue and Hellmann area neighborhoods. Provided additional funding in conjunction with the Graffiti Removal Program throughout the Project Area. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 8 of 19 Provided funding through the East Village Artist Loan Program to assist the Garage Theatre with interior renovations. Corridor Revitalization Completed the Alamitos Corridor Street Enhancement Plan that identifies opportunity sites for streetscape improvement. Entered into a Property Exchange Agreement with the State of California for the development of a regional courthouse near Broadway and Magnolia Avenue. Initiated the Downtown Community Plan and Program Environmental Impact Report to update the existing zoning standards and to provide design guidelines for future development. Completed extensive exterior and on-site improvements to The Willow retail center located at Willow Street and Caspian Avenue. Acquired and conveyed three blighted parcels on the northeast corner of Pacific Coast Highway and Walnut Avenue to Long Beach City College for the expansion of its Pacific Coast Campus. Completed the revision of the Planned Development Ordinance (PD30) to allow more compatible uses within the Arts District and Downtown. Constructed Renaissance Square, a 12,000-square-foot retail/service center at 1900 Atlantic. The facility will house Union Bank of California on the ground floor and a center to support working families on the second floor. Acquired property at Pine Avenue and Pacific Coast Highway to assemble a suitable retail development site. Completed the Long Beach Boulevard Redevelopment Study in collaboration with Southern California Association of Governments (SCAG). Staff assisted in the preparation of financial and visioning tools to prepare for growth and enhanced livability on Long Beach Boulevard. Open Space and Public Art Facilitated the construction of park and open space facilities in collaboration with the Departments of Parks, Recreation and Marine and Public Works including Homeland Cultural Center, Rosa Parks Park, Seaside Park and Drake/Chavez Greenbelt. Constructed the Downtown Dog Park at Pacific Avenue and 9th Street Commissioned and installed temporary art throughout the Project Area’s vacant lots and storefronts. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 9 of 19 Provided funding for land acquisition to allow for the development and/or expansion of parks including Drake/Chavez Greenbelt, McBride Park Expansion, Orizaba Park Expansion, and Pacific Right of Way Bike Trail. Infrastructure and Public Improvements Completed the installation of pedestrian lighting in coordination with the 1st Street Reconstruction Project in the East Village District. Completed the construction of Phase I streetscape improvements to the Magnolia Industrial Area. Completed landscaped medians along Martin Luther King Jr. Boulevard. Completed refurbishment and replanting of existing medians on Santa Fe Avenue. Facilitated the development of the new state-of-the-art Mark Twain Library. Completed land assembly to allow for the development of a new public safety building at Anaheim Avenue and Walnut Avenue. Facilitate the Efficient Administration of the Project Area Provided staff and administrative support to the Central Project Area Committee. Supported the implementation strategies for the eight targeted Neighborhood Centers for concentrated redevelopment activities as identified in the Central Long Beach Strategic Guide for Development. Continued to apply the recommendations identified in the Central Design Guidelines to all new projects in the Project Area. Continued to collaborate with the Planning Bureau to facilitate Long Beach 2030 and the Downtown Community Plan. Continued to partner with the Arts Council of Long Beach on new public art. Continued support of events and organizations throughout the Project Area. Affordable Housing Programs Obtained funding and completed construction of the Long Beach Senior Housing Project located at Atlantic Avenue and Vernon Street. Purchased 21 properties on Atlantic Avenue between 20 th Street and Hill Street in cooperation with the Long Beach Housing Development Corporation (LBHDC) for development of additional affordable housing. Assisted in the design development of a workforce housing project at 2000-2200 Atlantic Avenue. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 10 of 19 Assisted in the design development of a mixed-income housing project at 1235 Long Beach Boulevard. Provided 20% of the available Project Area tax increment to the Housing Development Fund. V. IMPLEMENTATION PLAN GOALS AND OBJECTIVES Over the term of the Implementation Plan, the Agency will focus on the following goals for Central Long Beach Redevelopment Project Area while implementing the Strategic Guide recommendations. Linkage of each goal with conditions of blight within the Project Area is demonstrated in the matrix shown in Figure 2. Goal 1: Neighborhood Revitalization Improving Project Area neighborhoods through the implementation of quality of life programs, services and initiatives. Goal 2: Corridor Revitalization Revitalizing major Project Area arterials through a coordinated set of strategies including land use and zoning changes; creation of improved pedestrian and vehicular uses; targeted business attraction; and retention efforts. Goal 3: Open Space and Public Art Development Enhancing the Project Area’s livability and civic character through the development of new open space opportunities and installation of art in the public realm. Goal 4: Infrastructure and Public Improvements Strengthening the economic base of the Project Area and community through infrastructure and public improvements to stimulate new residential, commercial and industrial expansion, employment and economic growth. Goal 5: Facilitate the Efficient Administration of the Project Area Supporting Project Area development and revitalization by the planning and implementation of strategic initiatives, while providing administrative assistance to community organizations. Goal 6: Support the Development of Affordable Housing in Long Beach Expanding and improving the community's housing supply, particularly housing available to low- and moderate-income persons and families. FY10 – FY14 Page 11 of 19 Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 Figure 2: Linkage of Goals to Blight Alleviation Blighting Condition PHYSICAL BLIGHT Buildings in which it is unsafe for persons to live or work: Deterioration and dilapidation Defective design Faulty or inadequate utilities Factors that prevent or substantially hinder the economically viable use or capacity of buildings or lots: Substandard design Inadequate parking Adjacent or nearby uses that are incompatible with each other and which prevent the economic development of those parcels or portions of the project area. Subdivided lots of irregular form and shape and inadequate size for proper usefulness and development that are in multiple ownership. ECONOMIC BLIGHT Depreciated or stagnant property values or impaired investments, including, but not necessary limited to properties containing hazardous wastes: Properties contaminated with hazardous wastes Abnormally high business vacancies. Abnormally low lease rates. Residential overcrowding and an excess of bars, liquor stores, or businesses that cater exclusively to adults that has lead to problems of public safety and welfare. A high crime rate that constitutes a serious threat to the public safety and welfare. CONTRIBUTING CONDITIONS Inadequate public improvements, parking facilities, or utilities. Goal 1 Goal 2 Goal 3 Goal 4 Goal 5 Goal 6 Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 VI. FY10 – FY14 Page 12 of 19 PROPOSED AGENCY PROGRAMS AND POTENTIAL PROJECTS The following narratives describe the proposed programs and potential projects to be undertaken in the Project Area during the five years covered by the Implementation Plan. A summary of the linkage of these programs and potential projects with conditions of blight within the Project Area is included in the matrix shown in Figure 3. Neighborhood Revitalization Program Neighborhood Revitalization activities are designed to improve the quality of life in Long Beach neighborhoods through a variety of means. Code enforcement, graffiti abatement, acquisition of blighted and negative use properties, and the development of mixed-use and affordable and market rate housing are some of the strategies the Agency employs under this program. In addition, the Agency will continue, as opportunities arise, to participate in major land use management efforts designed to encourage pedestrian-oriented streetscapes and neighborhood serving uses. These may include design for development, development strategies, and advice to the City's Planning and Building Bureaus regarding appropriate zoning for neighborhoods, the development of architectural design guidelines, and the completion of other related land use studies. Neighborhood Revitalization activities will address physical blight such as deterioration, dilapidation and deferred maintenance. Neighborhood Revitalization Activities / Potential Projects Neighborhood Code Enforcement Program – An ongoing program implemented in conjunction with the City’s Neighborhood Services Bureau; The Code Enforcement Division responds to complaints of violations of the Long Beach Municipal Code that include substandard buildings; property maintenance; inoperative vehicles; weed abatement; and land use violations. When violations are identified, the responsible parties are contacted and requested to abate the conditions. Failure to correct violations could result in a citation or a referral to the City Prosecutor’s office. The Neighborhood Code Enforcement Program will address physical blight such as deterioration, dilapidation and deferred maintenance. Graffiti Removal Program – An innovative and effective program implemented to remove graffiti from public and private property as quickly as possible in order to improve neighborhoods and discourage further graffiti. The program is offered at no cost to property owners or tenants including free paint for property owners choosing to remove the graffiti themselves; a professional paint contractor to insure perfect paint match when necessary; and a Graffiti Hotline for citizens to report "graffiti sightings" or request free paint. The Graffiti Removal Program will also address physical blight. Additionally, new investments and economic opportunities will be encouraged through a general improvement in the Project Area's appearance. Shoreline Gateway – The construction of 2.2 acres of previously acquired parcels located at the northwest corner of Ocean Boulevard and Alamitos Avenue as 350+ for sale condominium units and 20,000 square feet of retail space. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 13 of 19 Willmore Implementation Plan – The implementation of strategies identified in the Willmore Implementation Plan to further development of the Willmore District by addressing priority issues, long-term goals, and near-term actions. Orizaba Design District – A strategic design initiative to further the development of the Orizaba Design District, an area transitioning from industrial warehouse to creative office uses. The intent is to work closely with the key stakeholders in the area and address development strategies to brand the area as a design/creative class district; to identify immediate improvements that can be made in the public realm; to identity short; medium and long-term strategies to support opportunities; and address challenges as the area develops. Willmore Historic Home Preservation – Reducing blight by facilitating the rehabilitation and preservation of historic properties and the development of vacant and underutilized properties. Additionally, the Agency seeks to create homeownership opportunities by selling the homes to future residents. Atlantic and Willow Development Site – Assisting with expansion efforts of the Memorial Medical Center through the attraction and development of medical related facilities, offices and bio-tech enterprises. Long Beach Courthouse – The implementation of the Property Exchange Agreement with the State of California for the construction of a regional court facility. Corridor Revitalization Program The Agency plans to implement Corridor Revitalization in a variety of ways. These may include projects such as business assistance and expansion, building and facade improvement assistance, formation of business improvement districts, and the promotion of new and continuing private sector investment. In addition, the Agency will continue, as opportunities arise, to participate in major land use management efforts designed to encourage commercial activities. These may include design for development, development strategies, and advice to the City's Planning and Building Bureaus regarding appropriate zoning for commercial corridors, the development of architectural design guidelines, and the completion of other related land use studies. Commercial Revitalization activities will address physical blight such as deterioration, dilapidation and deferred maintenance. Corridor Revitalization Activities / Potential Projects Commercial Façade Improvement Program – The Commercial Façade Improvement Program provides matching funds to revitalize commercial and industrial properties in the Central Redevelopment Project Area. The intent is to assist commercial property owners and tenants to improve or rehabilitate their building façades and landscaping. The Commercial Façade Improvement Program will address physical blight such as deterioration, dilapidation and deferred maintenance. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 14 of 19 Commercial Screening Program – The Commercial Screening Program assists in the addition or upgrade of screening of commercial and industrial properties within the project area. This will be achieved through matching grants to property owners or tenants of approved sites, from a single building to commercial centers or industrial parks. The intent is to assist property owners/tenants to improve/rehab their building fencing & landscaping. The Commercial Screening Program will address physical blight such as deterioration, dilapidation and deferred maintenance. Long Beach Boulevard Master Plan – Update of PD-29 to allow for the development of compact, pedestrian-oriented commercial and residential uses along Long Beach Boulevard, which maximize previous high-capacity transit infrastructure investments. The goal is to facilitate development of locations along the corridor suitable for a sustainable, walkable, mixed-use community. Atlantic Avenue and Vernon Street – The development of property acquired at Vernon Street and Atlantic Avenue in collaboration with a developer Pine Avenue and Pacific Coast Highway – The redevelopment of previously purchased properties to allow for neighborhood serving commercial uses. Atlantic Avenue and Anaheim Street – The adaptive reuse of a vacant Art Deco building and the development of uses tying medical related opportunities on Atlantic Avenue near St. Mary’s Medical Center to other commercial uses appropriate to Anaheim Street and Long Beach Polytechnic High School. Anaheim Street and Walnut Avenue – The design and development of public emergency and disaster response facilities to enhance the Project Area safety. Martin Luther King Junior Boulevard and Pacific Coast Highway – The assemblage and development of parcels to accommodate a modern design retail/commercial project, enhance consumer services and increase business and employment opportunities. Pacific Avenue and Pacific Coast Highway – Assemble and development of a 65,000-square-foot site for retail center anchored by 15,000-square-foot store and an additional 5,000 square feet of retail. Open Space and Public Art The Agency has been actively involved in funding the creation of parks and open space. The Agency and Parks, Recreation and Marine Department staff have been working cooperatively in the acquisition and development of new projects by targeting sites within the redevelopment area. These improvements will assist in the removal of blight by enhancing open space in densely populated neighborhoods currently underserved by these types of amenities, improving safety of the residents, and helping to create safe, more cohesive and economically dynamic communities in the Project Area. Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 15 of 19 The Agency has also made a commitment to support the growing public art collection throughout the City. As part of improvements to public infrastructure, the Public Arts Program will be incorporated in a variety of projects such as street medians, sidewalk treatments, bus stop enclosures, murals, decorative metal work, park developments and utility boxes. Vacant lots and empty storefronts awaiting development will also be enhanced through temporary public art installations that are rotated throughout the redevelopment Project Area. The Agency’s investment in public art is instrumental in leveraging other redevelopment projects, decreasing blight and contributing to positive neighborhood transformations. Open Space and Public Art Activities Public Arts Program – The Agency has supported the growth of public art by entering into a contract with the Arts Council for Long Beach for the creation and installation of public art, as well as pursuing independent endeavors. Drake/Chavez Park Expansion – The construction of a new pedestrian greenbelt connecting Drake and Chavez Parks and expanding open space opportunities within the Project Area. MacArthur Park / Homeland Center Development – The construction of a new community theatre and the renovation of existing facilities. Seaside Park – Development of a 2.5-acre park. Park amenities will include a soccer field and playground. Rosa Parks Development – Development of a blighted property to create a passive park. McBride Park Expansion – The construction of a new senior center and the expansion of the existing teen, recreational and community facilities. Orizaba Park Expansion – The development of acreage for park space and the construction of new recreation amenities, including a new community center. Pacific Right-of-Way Bike Trail Development – The acquisition and development of the undeveloped portions of the former Pacific Electric Railroad right-of-way for the creation of the Pacific Electric Railroad right-of-way bike trail project. Craftsman Park – The development of additional open space in the Project Area through the construction of a neighborhood park at 8 th and Orange featuring strolling, play, and picnic areas. Infrastructure and Public Improvements The Agency proposes to continue to include projects designed to improve the Project Area's infrastructure. These projects may include street and streetscape improvements; water distribution system improvements; sewer and storm drain improvements; repair and under grounding of utilities; construction or rehabilitation and upgrading of police, fire, public health, educational; and other public facilities buildings and public parking lot Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 FY10 – FY14 Page 16 of 19 improvements. Depending upon the specific projects undertaken under this goal, one or more of the conditions of blight will be addressed. As capital improvements are made, the shortfall or gap between adequate levels of service and then current levels will be reduced. Infrastructure and Public Improvement Projects Magnolia Industrial District Street Enhancement – Development of streetscape enhancement to improve the infrastructure deficiencies in the Magnolia Industrial District. Alamitos Corridor Streetscape Enhancement – Implementing streetscape enhancements along Alamitos Corridor that assesses and proposes improvements such as landscaping, pedestrian street lighting, median landscaping, traffic flow improvements and public art. Wrigley Village Improvements – Facilitating right-of-way and other improvements in Wrigley Village consisting of the planting of parkway and median trees on public streets; landscaping; pedestrian street/building lighting; median lighting; and landscaping. It will also feature traffic calming, mid-block pedestrian crossings and public art. East Village Streetscape Improvement – Implementation of streetscape improvements in the East Village District. Public Facility Expansion – Facilitating the development and expansion of new and existing public facilities including fire stations; emergency response centers; public libraries; senior centers; teen and recreational centers; and regional public facilities that are employment generators. Cherry Widening Project – Assisting the City of Signal Hill with right-of-way acquisition of properties in Long Beach for the design and construction of traffic management construction around the intersection of Cherry Avenue and Pacific Coast Highway. Orizaba Design District Improvements – Improving infrastructure through reconstruction of streets and sidewalks in the Orizaba Design District to aid in the area’s transition from industrial to pedestrian usage. Facilitate the Efficient Administration of the Project Area Implementation of the Strategic Guide for Development for Central Study Area Implementation of the Central Long Beach Design Guidelines Provision of staff support to the Central Project Area Committee Provision of staff support to the East Village Steering Committee and East Village Association Implementation of the Downtown Community Plan FY10 – FY14 Page 17 of 19 Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 Affordable Housing Programs Existing programs to increase the supply of affordable housing will continue. In addition, blighting conditions such as housing in inappropriate locations and overcrowding may be impacted. Infrastructure/ Public Improvements Efficient Admin. of Project Area Affordable Housing Abnormally high business vacancies. Abnormally low lease rates. Residential overcrowding and an excess of bars, liquor stores, or businesses that cater exclusively to adults that has lead to problems of public safety and welfare. A high crime rate that constitutes a serious threat to the public safety and welfare. CONTRIBUTING CONDITIONS Inadequate public improvements, parking facilities, or utilities. Open Space and Public Art PHYSICAL BLIGHT Buildings in which it is unsafe for persons to live or work: Deterioration and dilapidation Defective design Faulty or inadequate utilities Factors that prevent or substantially hinder the economically viable use or capacity of buildings or lots: Substandard design Inadequate parking Adjacent or nearby uses that are incompatible with each other and which prevent the economic development of those parcels or portions of the project area. Subdivided lots of irregular form and shape and inadequate size for proper usefulness and development that are in multiple ownership. ECONOMIC BLIGHT Depreciated or stagnant property values or impaired investments, including, but not necessary limited to properties containing hazardous wastes: Properties contaminated with hazardous wastes Corridor Revitalization Blighting Condition Neighborhood Revitalization Figure 3: Linkage of Projects and Programs to Blight Alleviation Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 VII. FY10 – FY14 Page 18 of 19 EXPENDITURES The Agency has identified various methods for financing redevelopment activity within the Project Area in addition to using tax increment revenues. These other methods include: (1) tax allocation bonds; (2) loans, grants and contributions from local entities, state or federal government programs; (3) advances from developers; (4) public/private partnerships; (5) proceeds from the sale or lease of Agency-owned property; (6) leveraging tax increment revenues; and (7) financing proceeds based upon revenues from special assessment or special tax districts. The Agency will continue to consider other financing sources such as those discussed above to finance redevelopment activities. However, the Agency will rely upon tax increment revenues as the primary means of alleviating the Project Area’s various blighting conditions. The Agency anticipates expenditures of approximately $63.7 million over the next five years, with the majority of expenditures for programs and projects and remainder for repayment of debt obligations and on-going operations and administration of Project Area Activities. The projected expenditures also include an allowance for a 1-time Supplemental Educational Revenue Augmentation Fund (SERAF) payment of $7.2 million. (Continued on next page) FY10 – FY14 Page 19 of 19 Central Long Beach Project Area Five-Year Implementation Plan October 1, 2009 – September 30, 2014 Figure 4: Expenditures FY 2009-10 FY 2010-11 FY 2011-12 FY 2012-13 FY 2013-14 5-Year Totals % of Totals 7,229,460 - - - - 7,229,460 11% 3,660,685 3,658,406 3,657,284 3,730,430 3,805,038 18,511,843 115,515 118,375 121,307 123,733 126,208 605,138 Total - Financing Costs 3,776,200 3,776,781 3,778,591 3,854,163 3,931,246 19,116,981 30% Operations2 4,172,041 3,225,930 3,275,368 3,340,875 3,407,693 17,421,907 27% Neigh. Code Enforcement 322,000 322,000 322,000 322,000 322,000 1,610,000 Graffiti Abatement 125,000 125,000 125,000 125,000 125,000 625,000 447,000 447,000 447,000 447,000 447,000 2,235,000 125,000 125,000 125,000 125,000 125,000 625,000 25,000 25,000 25,000 25,000 25,000 125,000 LBCC & Kroc 100,000 1,900,000 - - - 2,000,000 Comm. Façade Prgrm 3,600,000 SERAF1 Financing Costs Debt Service Int. on City Interim Loan Programs Neighborhood Revitalization Subtotal - Neigh. Revital. Corridor Revitalization Econ. Development Svs Renaissance Square 600,000 750,000 750,000 750,000 750,000 Comm. Screening Prgrm 50,000 100,000 100,000 100,000 100,000 450,000 Anaheim & Walnut 85,000 950,000 1,000,000 - - 2,035,000 Long Beach Bl. Master Plan 100,000 100,000 - - - 200,000 1,085,000 3,950,000 2,000,000 1,000,000 1,000,000 9,035,000 Orizaba Park Expansion - 700,000 3,000,000 - - 3,700,000 Public Art Development 100,000 200,000 - - - 300,000 42,000 42,000 42,000 42,000 42,000 210,000 142,000 942,000 3,042,000 42,000 42,000 4,210,000 Subtotal - Corridor Revit. Open Space/Public Art Arts Council Support Subtotal - Open Space/Pub. Art Infrastructure/Public Improv. East Village Streetscape Magnolia Ind. Dist. Streetscape 500,000 - - - - 500,000 1,000,000 - - - - 1,000,000 Wrigley Village Improvements 500,000 500,000 500,000 - - 1,500,000 Orizaba Design District 500,000 500,000 500,000 - - 1,500,000 2,500,000 1,000,000 1,000,000 - - 4,500,000 - - - - - - 4,174,000 6,339,000 6,489,000 1,489,000 1,489,000 19,980,000 Subtotal – Infra.e/Pub. Improv. Housing Total - Programs 31% Grand Total - Expenditures 19,351,701 13,341,711 13,542,959 8,684,038 8,827,939 63,748,348 100% Footnotes 1 SERAF = Supplemental Educational Revenue Augmentation Fund. 2 Operations include personnel expenses, operating services and supplies, City services and overhead, and financial management department services. Attachment No. 1: Blight Definitions in Effect at Time of Project Re-adoption* 1994-2006 Blight Definitions CRL Section 33031(a) (Physical Blight) (1) Buildings in which it is unsafe or unhealthy for persons to live or work. These conditions can be caused by serious building code violations, dilapidation and deterioration, defective design or physical construction, faulty or inadequate utilities, or similar factors. (2) Factors that prevent or substantially hinder the economically viable use or capacity of buildings or lots. This condition can be caused by substandard design, inadequate building size given present standards and market conditions, lack of parking, or other similar factors. (3) Adjacent or nearby uses that are incompatible with each other and which prevent the economic development of those parcels or other portions of the project area. (4) The existence of subdivided lots of irregular form and shape and inadequate size for proper usefulness and development that are in multiple ownership. CRL Section 33031(b) (Economic Blight) (1) Depreciated or stagnant property values or impaired investments, including but not necessarily limited to, those properties containing hazardous wastes that require the use of agency authority as specified in Article 12.5 (commencing with Section 33459). (2) Abnormally high business vacancies, abnormally low lease rates, high turnover rates, abandoned buildings, or excessive vacant lots within an area developed for urban use and served by utilities. (3) A lack of necessary commercial facilities that are normally found in neighborhoods, including grocery stores, drug stores, and banks and other lending institutions. (4) Residential overcrowding or an excess of bars, liquor stores, or businesses that cater exclusively to adults that has led to problems of public safety and welfare. (5) A high crime rate that constitutes a serious threat to the public safety and welfare. *Blight definitions in effect in March 2001. Project Area was adopted in September 1993. Attachment No. 2: Affordable Housing Compliance Plan PA0910016.LGB:DVB:gbd 15610.001.002/11/09/09
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